FOR OFFICIAL USE ONLY:

EXPORT INSPECTION COUNCIL

CONTRIBUTORY PROVIDENT FUND RULES, 1986

AND

EXPORT INSPECTION COUNCIL

DEATH-CUM-RETIREMENT GRATUITY RULES, 1981
(AMENDED UPTO 31.12.1986)

AND

EXPORT INSPECTION AGENCY

DEATH-CUM-RETIREMENT GRATUITY RULES, 1981
(AMENDED UPTO 31.12.1986)

EXPORT INSPECTION COUNCIL OF INDIA

(MINISTRY OF COMMERCE)
GOVERNMENT OF INDIA
NEW DELHI

1987
 CONTENTS

RULES Pages

(1) Export Inspection Council

Contributory Provident Fund Rules, 1986 1-22

(2) Export Inspection Council

Death-cum-Retirement Gratuity Rules, 1981 23-34

(3) Export Inspection Agency

Death-cum-Retirement Gratuity Rules, 1981 35-46
 Ministry of Commerce

Government of India

EXPORT INSPECTION COUNCIL CONTRIBUTORY

PROVIDENT FUND RULES, 1986

NEW DELHI, the 27.9.1986

NOTIFICATION

S.O.3329 In exercise of the power conferred by section 17 of the Export (Quality

Control and Inspection ) Act, 1963 (22 of 1963), the Central Government hereby makes
the following rules, namely :-

1. Short title and commencement :

1) These rules may be called the Export Inspection Council Contributory Provident
Fund Rules,1986.
2) They shall come into force on the date of their publication in the Official Gazette.

2. Definitions :

In the rules, under the context otherwise requires: -

a) ‘Agency’ means the Export Inspection Agencies established under section 7 of

the Act at Bombay, Calcutta, Cochin, Delhi and Madras;
b) ‘Chairman’ means the Chairman of the Export Inspection Council;
c) “Council” means the Export Inspection Council established under section 3 of the
Act;
d) ‘Director’ means the Director of Inspection and Quality Control of the Council:
e) “emoluments” means pay, officiating pay, special pay, personal pay, dearness
pay, or any other amount specially declared as such and which count for
determining retirement benefits, leave salary, or subsistence grant as defined in
the Fundamental Rules, Dearness Allowance and Additional Dearness Allowance
and includes any wages paid by the Council or Agency to its employees not
remunerated by fixed monthly pay;
f) “employees” means the person in the whole time regular employment of the
Council or the Agency;
g) “family” means: -
 i. in the case of a male employee, the wife or wives and children of an
employee, the widow or widows and children of a deceased son of the
employee ;
ii. in the case of a female employees, the husband and children of the employee
and widow or widows and children of a deceased son of the employee ;
Provided that—

1) if a male employee proves that his wife has been judicially separated from
him or has ceased under the customary law of the community, to which she
belongs to be entitled to maintenance, she shall be deemed to be no longer a
member of the employee’s family in matters to which these rules relate
unless the employee intimates, in writing to the Head of Office with proof
thereof that she shall continue to be so regarded ;

2) if a female employee, by a notice in writing to the Head of Office expresses

her desire to exclude her husband from her family in matters to which these
rules relate, unless the employee subsequently cancels such notice in
writing.

Explanation :

In the notice referred to in this clause, the female employee shall indicate
whether or not her husband is physically handicapped and totally dependent
on her. On receipt of such notice the head of office shall have the right to
refuse the exclusion of husband from her family.

Note.-‘Child’ means a legitimate child and includes an adopted child, where

adoption is recognised by the personal law governing the employee;

h) ‘Fund’ means the Export Inspection Council Contributory Provident Fund ;

i) ‘Head of Office’ means an officer who has been declared as such by the Council
or its Chairman or by the Director ;
j) ‘leave’ means any kind of leave recognised by the Council.
k) ‘sanctioning authority’ means, the Director or any other officer of the Council or
Agency empowered by the Director to function as such for the purpose of these
rules ;
l) ‘subscriber’means a member of the fund ;
m) ‘year’ means a financial year ;
n) all words and expressions used in these rules and not defined but defined either in
the Contributory Provident Fund Rules (India) 1962 or in the Fundamental Rules
shall have the meanings respectively assigned to them in those rules.

3. Extent of Application :
 These rules shall apply to every whole time and regular employee of the Export
Inspection Council and the following agencies established by the Central Government
under section 7 of the Export (Quality Control and Inspection ) Act , 1963 (22 of
1963), namely :-

a) Export Inspection Agency , Bombay.

b) Export Inspection Agency , Calcutta.
c) Export Inspection Agency , Delhi.
d) Export Inspection Agency , Madras ;

Provided that these rules shall not apply to those employees who entered service
after introduction of Export Inspection Council Pension and General Provident Fund
Rules, 1981 notified under S.O. 2922,dated the 24.10.1981.

4. Constitution and Management of the Fund :

The fund shall be administered by the Council.

5. Nomination

1) An employee shall, at the time of joining the Fund, send to the Head of Office, a
nomination in the prescribed form conferring one or more persons the right to
receive the amount that may stand to his credit in the Fund in the event of his
death, before that amount has become payable or having become payable, has not
been paid ;

Provided that, if at the time of making the nomination , the employee

has a family, the nomination shall not be in favour of any person or persons other
than the members of the family.

2) If a subscriber nominates more than one person under sub-rule (1), he shall
specify in the nomination the amount of share payable to each of the nominees in
such manner as to cover the whole of the amount that may stand to his credit in
the Fund at any time.

3) A subscriber may at any time cancel a nomination by sending a notice in writing

to the Head of Office. The subscriber shall, along with such notice or separately,
send a fresh nomination made in accordance with the provisions of this rule.

4) A subscriber may provide in a nomination :-

a) in respect of any specified nominee, that in the event of his predeceasing the
subscriber, the right conferred upon that nominee shall pass to such other
person or persons as may be specified in the nomination, provided that such
other person or persons shall, if the subscriber has other members of his
 family,be such other member or members. Where the subscriber confers such
a right on more than one person under this clause, he shall specify the amount
or share payable to each of such persons in such a manner as to cover the
whole of the amount payable to the nominee.

b) that the nomination shall become invalid in the event of the happening of a
contingency specified therein ;

Provided that if at the time of making the nomination the

subscriber has no family, he shall provide in the nomination that it shall
become invalid in the event of his subsequently acquiring a family;

Provided further that if at the time of making the nomination the

subscriber has only one member of the family, he shall provide in the
nomination that the right conferred upon the alternate nominee under clause
(a) shall become invalid in the event of his subsequently acquiring other
members in his family.

5) Immediately on the death of a nominee in respect of whom no special provision

has been made in the nomination or on the occurance of any event by reason of
which the nomination becomes invalid, as provided under sub rule (4) or the
provision thereunder, the subscriber shall send to the Head of Office a notice in
writing cancelling the nomination,together with a fresh nomination made in
accordance with the provision of this rule.

6) Every nomination made, and every notice of cancellation given by a subscriber

shall, to the extent that it is valid, take effect on the date on which it is received
by the Head of Office.

6. Subscriber’s Account :

An account shall be opened in the name of each subscriber in which shall be shown:-

i. his contribution ;
ii. contribution made under rule 10 by the Council or Agency to his account ;
iii. interests, as provided by rule 12, on subscriptions and contributions ;
iv. bonus, as provided by rule 13 on subscriptions ; and
v. advance and withdrawals from the Fund.

7. Conditions of subscription :

1. Every employee when on duty or on foreign service shall subscribe monthly to the
Fund but not during the period when he is under suspension.
 Provided that a subscriber on reinstatement after a period passed under suspension
shall be allowed the option of paying in one lump sum, or in installments, any sum not
exceeding the maximum amount of arrear subscription payable for that period.

Note – A subscriber need not subscribe during a period treated as dies-non.

2. Every employee who has been a member of Provident Fund recognised under clause
3 of part A of the Fourth Schedule of the Income Tax Act, 1961 or the General
Provident Fund in his employment immediately preceeding the service under the
Council of Agency shall be entitled to subscribe to the Fund from the date of his
employment under the Council of Agency.

3. A subsciber may, at his option, not subscribe during leave which either does not carry
any leave salary or carries leave salary equal to or less than half pay or half average
pay.

4. The subscriber shall intimate his election not to subscribe during the leave referred to
in sub-rule (3), by written communication to the Head of Office before he proceeds
on leave and failure to make due and timely intimation shall be deemed to constitute
an election to subscribe.

5. Notwithstanding anything contained in sub-rule (1) a subscriber shall not subscribe to

the Fund for the month in which he quits service unless, before the commencement of
the said month, he communicates to the Head of Office in writing his option to
subscribe for the said month.

8. Rate of Subscription :

1. The amount of monthly compulsory subscription shall be fixed by the subscriber

himself, but shall not be less than eight percent of the subscriber’s emoluments as
defined in sub-rule(e) of rule 2 of these rules.

2. Subject to the provision of the sub rule (1) , a subscriber ,may subscribe to the
fund additional contribution voluntarily, provided that :-

a) such option of voluntary subscription shall be through written

communications to the Head of Office and the amount of subscription so fixed
may be –

i. reduced once at any time during the course of the year,

ii. enhanced twice during the course of the year, or
iii. reduced and enhanced as aforesaid.

b) the employees subscription and voluntary contribution shall not exceed his
total monthly emoluments.
Note – The rates of subscription shall be expressed in whole rupees.

9. Realisation of subscription :

Realisation of subscription at the rate fixed under rule 8 and the advance, if any, drawn
by subscriber from the Fund shall be made from his monthly salary by deduction from
his pay bill.

10. Contribution by Council/Agency :

1) The Council or Agency shall contribute to each subscriber’s account in the Fund
at the end of each half year i.e. on 30th September and 31st March a contribution
equal to the sum subscribed by the employee but such contribution shall, in no
case, exceed eight percent of the monthly emoluments payable to each employee ;

Provided that no contribution shall be made by the Council or Agency for

the period for which the subscriber does not subscribe to the Fund.

2) In the event a subscriber quits the service or dies during a year, the contribution
under sub-rule (i) shall be credited to such subscriber’s account for the period
between the close of the proceeding year and the date of his quitting service or
death.

3) No contribution shall be payable in respect of any period for which the subscriber
is permitted under these rules not to subscribe or does not subscribe to the fund.

11. Transfer from or to other funds :

1) The amount standing to the credit of an employee in a provident fund recognised

under clause 3 of part A of the Fourth Schedule of the Income Tax Act,1961, or
the General Provident Fund at the time of his employment under the Council or
Agency or permanent absorption in the Council or Agency of an employee who is
on foreign service shall, if the employee so desires, be credited to the Fund
maintained under these regulations.

2) Where an employee leaves the service of the Council or Agency to join another
Government or Semi-Government organisation or an organisation to which the
Employees Provident Fund and Miscellaneous Provision Act,1952 (19 of 1952).
is applicable or to an organisation which maintains a provident fund recognised
under the Income Tax Act,1961 the amount of accomulation to the credit of such
employee, if the employee so desires and the regulations in relations to the
Provident Fund of such new employer permit such amount, shall be transferred to
the Fund maintained by his new employer,

12. Interest :
1) The Council or Agency shall credit to the amount of a subscriber, interest, at such
rate as the Government of India may, from time to time, prescribe for the payment
of interest on subscriptions to the General Provident Fund maintained for
Government servants on the amount at his credit in the fund.
2) Interest shall be credited to the subscriber’s account as on 31st March of each year
in the following manner :-

a) on the amount at the credit of a subscriber on the 31st March of the preceding
year, less any sums withdrawn by the subscriber during the current year
interest for twelve months.

b) on the sums withdrawn during the current year interest from the 1st April of
the current year up to the last day of the month preceding the month of
withdrawal.

c) on all sums credited to the subscriber’s account after the 31st March of the
preceding year, interest from the date of deposit up to the 31st March of the
current year.

d) the total amount of interest shall be rounded to the nearest whole rupee, fifty
paise counting as the next higher rupee.

Provided that when the amount standing at the credit of a subscriber has become
payable, interest shall be credited under this sub-rule in respect of only the period
from the beginning of the current year or from the date of deposit, as the case
may, be up to the date on which the amount standing at the credit of the
subscriber becomes payable :

Provided further that where there has been delay in the drawal of pay or leave
salary and allowance of a subscriber and consequently the recovery of his
subscription towards the fund, the interest on such subscription towards the fund,
the interest on such subscription shall be payable from the month in which the pay
or leave salary of the subscriber was due under the rules, irrespective of the month
in which the pay or leave salary of the month in which it was actually drawn ;

Provided also that where the emoluments for a month are drawn and
disbursed on the last working day of the same month the date of deposit shall, in
the case of recovery of his subscriptions, be deemed to be the first day of the
succeeding month.

3) In addition to any amount to be paid under rule 23 interest,upto the end of the
month preceding that in which the payment is made, or up to the end of the sixth
month after the month in which such amount, become payable, whichever of these
periods be less, shall be payable to the person to whom such amount is to be paid.
 Note :- Payment of interest on the Fund Balance beyond a period of 6 months may be
authorised by-

a) The Director up to period of one year ;

b) The Ministry upto any period :
after he or it has satisfied that the delay in payment was occasioned by circumstances
beyond the control of the subscriber or the person to whom such payment was to be
made, and in the every such case the administrative delay involved in the matter shall be
fully investigated and action , if any required, shall be taken.

13. Incentive bonus :

1) A subscriber to the fund who has not withdrawn any money from his/her fund
account in respect of own subscription during the preceding three years shall be
entitled to a bonus at the rate of one percent on the entire balance at the
subscriber’s credit on the last day of that year.

2) The balance on which the bonus is to be calculated will be the balance on the last
date of the last year to the three year period after crediting interest for the said last
year:

Provided that the bonus shall be calculated on the accumulated fund of the
subscriber’s own contribution only, along with admissible interest thereon Bonus
so calculated will be rounded to the nearest whole rupee (fifty paise counting as
the next higher rupee). This will be credited to the account of the subscriber in
addition to the interest on the provident fund balance.

Note :- The term withdrawal means refundable and non – refundable withdrawal.

14. Annul statement of account:

1) As soon as possible after the audit of the account for 31st March of each year, the
Council shall send to each subscriber an annual statements of his/her account
showing the amount standing to his/her credit in the fund alongwith details
recording opening balance deposited and subscription during the year,refund of
amount, if any, interest credited for the year and withdrawls, etc.from the account.
The Council or Agency shall attach to the statements of account an enquiry
wheather the subscriber-

(a) desires to make any alteration in any nomination made under rule 5;

(b) has acquired a family in cases where the subscriber has made no nomination in
favour of a member of his family under the provision to sub-rule (1) of rule 5 ;
 3) Subscribers shall satisfy themselves as to the correctness of annual statement
and error, if any, should be brought to the notice of the officer incharge
forwarding the statement within 3 month from the date of receipt of such
annual statement.

15. Advance from the fund:

1) The appropriate sanctioning authority may sanction,the payment to the

subscriber on application in prescribed from ,an advance not exceding 3
month emoluments or half the amount of the subscriber’s own
contribution and interest there-on standing to the credit of the subscriber in
the fund ,whichever is less, for one or more of the following purpose
,namely:-

(a) to pay expenses in connection with illness,confinement or a disability

including travelling expenses (where necessary) of the subscriber or
members of his family or any person dependent on him.

(b) to meet the cost of higher education including with illness, where
necessary, the travelling expenses of the subscriber and members of
his family or any person actually dependent on him in the following
cases, namely:-

(i) for education outside India for academic technical

professional or vocational cource beyond the High School
stage;and
(ii) for any medical, engineering or other technical or
specialized course in India beyond the High School
stage,provided that the cource of study is for not less than
three years;

Note : The course of study for which advance may be allowed shall be as
per instruction of the Government of India for gtrant of advances to
the subscribers of General provident fund for Government servants;

(c) to pay obligatory expenses on a scale appropriate to the subscriber’s

status which by customary usage the subscriber has to incur in
connection with the betrothal or marriages,funerals or other
ceremonies;

(d) to meet the cost of legal proceeding instituted by or against the

subscriber,any member of his family or any person actually depen-
dent upon him,the advance in this case being available in addition
to any advance admisible for the same purpose from any other
source of the Council or Agency source;
 (e) to meet the cost of the subscriber’s defence where he engages a
legal practitioner to defend himself in an enquiry in respect of
any alleged official misconduct on his part;

(f) to meet the cost of plot or construction of a house or flat for his res-
idence or to make any payment towards the allotment of a plot or
flat by the Delhi Development Authority or a state Housing Board
or a House Building Co-operative Society .
2) The Director may,in special circumstances ,to be recorded in writing ,sa-
nction the payment to any subscriber of any advance if he is satisfied
the subscriber concerned requires the advance for purposes other than
those mentioned in subrule(1).

3) An advance shall not, expect for special reasons to be recorded in

writing, be granted to any subscrber in excess of the limit laid down in
sub-rule (1) or until re-payment of the last instalment of the last
instalment of any previous advance:

Provided that an advance shall in no case exceed the amount of su-

bscriptions and interest thereon standing to the credit of the subsc-
reiber in the fund.

4) when an advance is sanctioned under sub-rule (3) before repayment of

last instalment of any previous advance is completed,the balance of
any previous advance not recovered shall be added to the advance so
sanctioned and the instalments for recovery shall be fixed with
reference to the consolidated amount.

Note: A subscriber shall be permitted to take an advance once in every six m-

onths under item (b) of sub-rule(1) of this rule.

16. Recovery of Advance:

1) The advance gtanted to a subscriber shall be recorded from his monthly salary
in equal monthly installments as the authority sanctioning the advance may
direct,but such number shall not be less than 12, unless the subscriber so
elects, or more than 24.A subscriber may, at his option , repay in smaller
number of instalment than that prescribed by giving due intimation in writing
to the Head of the office. In special case where the amount of advance exceed
three months emoluments of the subscriber under sub-role (3) of rule 15 , the
sanctioning authority may , fix the number of instalments to be more than
twenty four but in no case more than thirty six .Each instalment shall be a
number expressed in whole rupees.
 2) Recovery shall be made in the manner prescribed in rule 9 for the realisation
of subscriptions, and shall commence with the issue of pay for the month
following the one in which the advance was drawn. The recovery shall not be
made, expect with the subscriber’s consent while the subscriber is in receipt
of subsistance grant , The recovery may be postponed, on the subscriber’s
written request , by the subscriber authenticity during recovery of an advance
of a pay granted t the subscriber.

3) Notwithstanding anything contained in these rule ,if the Head of Office is sat-
isfied that money drawn as an advance from the fund by the subscriber has
been utilised for a purpose other than that for which the advance was granted ,
he may, after issuing a notice in writing and after obtaining a written reply from
the subscriber within fifteen days, direct the subscriber to repay the amount of
advance forthwith or, in default ,may order the amount to be recovered by
deduction in one lump sum from the emoluments of the subscriber if he/she is
on leave. If the amount to be recovered is more than half of the subscriber’s
emoluments the recoveries shall be spread over in two or more monthly
installments the not exceeding half of the emoluments till the entire amount is
repaid.

4) Revoveries made under this rule shall be credited as they are made to the su-
bscriber’s account in the fund.

Note: The term ‘emolument’ in the rule does not include subsistence grant or all-
owance.

17. Withdrawal from the fund:

1) Subject to the conditions specified herein, withdrawal from the fund may be
sanctioned by the Head of Department at any time—

(A) After the completion of twenty year of service (including broken period
of service ,if any ) of a subscriber or within ten years before the date of
his retirement on superannuation, whichever is earlier ,from the amount
of subscriprion and interest therson standing to the credit of the subscriber
in the subscriber in the fund , for one or more of the following purpose
namely:-

(a) for the meeting the cost of higher education, including where necessa-
ry , the travelling expenses of the subscriber or any child of the subs-
criber in the following cases.namely:-

(i) for education outside India for academic technical, professional or

vocational course beyond the High school stage, and
 (ii) for any medical ,engineering or other technical or specialised cour-
se in India beyond the High School stage;

(b) for meeting the expenditure in connection with the betrothal or mar-
riage of the subscriber, his sons or his daughters, and any other fe-
male relations actually dependent on him;

(B) After the completion of ten years of service (including broken periods of
service, if any) of a subscriber or within ten years before the date of his
retirement on superannuation, whichever is earlier, from the following
purposes ,namely :-

(a) for building or acquiring amount house or ready-built flat for his re-
sidence including the cost of the site;

(b) for repaying an outstanding amount on account of loan expressly ta-

kes for building or acquiring a suitable house or ready-built flat for
his residence;

(c) for purchasing a house-site for building a house thereon for his resi-
dence or repaying any outstanding amount on account of loan expr-
essly taken for this purpose ;

(d) for reconstructing or making additions or alternation to a house or a

flat already owned or acquired by a subscriber;

(e) for renovating, additional or alternations or upkeep of an ancestral

house a place other than the place of duty or to a house built with the
assistance of a loan from the Government at a place other than the pla-
ce of duty or to a house built with the assistance of a loan from the
Government at a place other than the place duty;

(f) for constructing a house on a site purchased under clause (c) :

(C).Within six months before the date of the subscriber’s retirement ,from the
amount standing to his credit in the fund for the purpose of acquiring a fa-
farm land or business premises or both.

Note 1: If a subscriber has an ancestral house or built a house at a place other

than the place of his duty with the assistance of loan taken from the Gov-
ernment he shall be eligible for the grant of a final withdrawal under sub-
 clauses (a) ,(c) and (f) of clauses(b) for the purchasing of house site or for
construction of another house or for acquiring a ready-built flat at the pla-
ce of his duty .

Note 2: Withdrawal under sub-clauses (a), (d), (e) or (f) of clause (B) shall be
sanctioned only after a subscriber has submitted a plan of the house to be
constructed or of the additions to be made , duly approved by the local
municipal body of area where the site or house is situated and only in
cases where the plan is approved by such local municipal body.

Note 3: The amount of withdrawal sanctioned under sub-clause (b) of clause (B)
shall not exceed 3/4th of the balance on the date of application together
with the amount of previous withdrawal under sub-clause (a) , reduced by
the amount of previous withdrawal .The formula to be followed is 3/4th of
the balance as on date plus amount of previous withdrawal (s) for the hou-
se in question minus the amount of the previous withdrawal or withdraw-
als.

Note 4: Withdrawal under sub-clause (a) or (d) of clause (B) shall also be allowed
where the house site or house is in the name of wife or husband provided
she or he is the first nominee to receive provident fund money in the nom-
ination made by the subscriber.

Note 5: Only one withdrawal shall be allowed for the same purpose under this rule
, but marriage or education of different children or illness on different oc-
casions or a further addition or alternation to a house or flat coverd by a
fresh plan duly approved by local municipal body of the area where the
house of flat is situated shall not be treated as the purpose. Second or
subsequent withdrawal under sub-clause (a) or sub-clause (f) or clause
(B) for completion of the same house shall be allowed up to the laid down
in NOTE 3,

Note 6: A wihdrawal under this rule shall not be sanctioned if an advance under
rule 15 is being sanctioned for the same purpose and at all the same time.

Note 7: Withdrawal for the purchase of Motor- Cars may be permitted by the sanc-
tioning authority to the subscriber who has completed 25 years of service
or who have less than 5 years to attain the age of superannuation as per
instructions of the Government of India to the subscribers of General Pro-
vident Fund.
18. Conditions of withdrawal for various purpose:

The withdrawal at any one time for one or more of the purposes specified in rule
17 shall be subject to the following conditions, namely:-

(a) the amount of withdrawal shall not exceed one half of the amount of subscr-
iber in the Fund on the date of sanction or six moths’ emoluments or the act-
ual expenditure for the purpose specified whichever is less:

(b) the sanctioning authority may, however ,sanction the withdrawal of an amo-
unt in excess of this limit up to three fourth of amount of subscription and
interest thereon standing to the credit of the subscriber in the Fund on the
date of sanction having due regard to the object for which the withdrawal is
being made and the status of the subscriber ;

(c) if the withdrawal is for the purpose of construction of the house ,the same
should be commenced in six months of the withdrawal and should be com-
pleted within one year from the date of the commencement of the constructi-
on ;

(d) if the withdrawal is made for the purpose of house or a site for a house, the
purchase should be made within six months of the withdrawal ;

(e) if the amount withdrawal exceed the actual cost of purchase or construction
of the house or a site for a house or if the amount is not utilised for the purp-
ose for which it is withdrawn the excess or the whole ,as the case may be,
shall be refunded to the Fund forthwith in one lump sum together with inter-
est ;

(f) if the withdrawal is for the purchase or booking of a motor car or motor
cycle, etc, relevant deposit receipt must be produced for verification by the
concerned authority within a period of one month from the date of drawal.

19. Conversion of advance into final withdrawal:

A subscriber who has already drawn or may drawn in future an advance under
rule 15 may convert , at his discertion, by written request,for any of the purpose
specified in rule 17 ,the balance outstanding against him, into a final withdrawal
on satisfying conditions laid down in rule 17 and rule 18..

Note 1: For the purpose of sub-rule (1) of Rule 18 .the amount of subscription
with interest thereon standing to the credit of the subscriber in the acc-
ount at the time conversion plus the outstanding amount of advance shall
be taken as the balance.Each with withdrawal shall be treated as seprate
 and the same principle shall apply in the case at more than one conversi-
on .

20. Final withdrawal of accumulation in the Fund:

(A) Withdrawal of accumulation in the Fund. (1) When a subscriber quits the serv-
ice, the amout standing to his credit in the fund shall, subject to any deduction un-
der rule 23 ,become payable to him :

Provided, that a subscriber ,who has been dismissed from service and is sub-
sequently reinstated in the service shall ,if required to do so by the office ,repay
any amount paid to him from the fund in persuance of this rule,with interest at
the rate provided in rule 12 in the manner provided in sub-rule (2) of this rule
The amount of so repaid shall be credited to his account in the fund ,the part
which represents his subscriptions and interest thereon, and the part which
represents the contributions of Council or Agency with interest thereon ,being
accounted for in the manner provided in rule 6 .

(2) A subscriber ,other than who is appointed on contract or one who has retired
from service and is subsequently re-employed ,with or without a break in servi-
ce ,shall not be deemed to quit the service ,when he is transfered without any
break in service to a new post under a state Government or in another departm-
ent oif the Central Government ( in which he is governed by another set of
Provident Fund Rules) and without retaining any connection with his former
post, In such cases, his subscriptions together with interest theron shall be tran-
sferred in accordance with rule-11 of these rules.

Explanation-1. Transfers should be held to include cases of resignations from service in

order to take up appointment in another department of the Central Gove-
rnment or under the staste Government without any break and with pro-
per permission of Head of Department .In case where there has been a
break in service it shall be limited to the joining time allowed on transfer
to different station .

Explanation-2. The same shall hold good in cases of retrenchments followed immediate
employment whether under the same of different Government.

(3) When a subscriber, other than one who is appointed on contract or one who
has retired from service and is subsequently re-employed ,is transferred ,with-
out any break ,to the service under a body corporate owned or controlled by
Government or an autonomous organisation, the amount of subscriptions and t
the contributions of Council or Agency together interest thereon ,may be
transferred as per rule 11 of these rules to his new Provident Fund Account
under that body .
 (B) On retirement of a subscriber :

When a subscriber has proceeded on leave preparatory to retirement or while on

leave has been permitted to retire or declared by medical authority to be unfit for
further service, the amount of subscription and interest thereon in the Fund shall
on application made by him in that behalf to the office, become payable to the
subscriber :

Provided that the subscriber ,if he returns to duty shall ,except where the
office decides otherwise, repay to the Fund for credit to his account ,the amount
paid to him from the fund in pursuance of this with interest thereon at the rate
provided in rule 12 by instalments or otherwise , by recovery from his emolum-
ents or otherwise ,as may be directed by the authority competent to sanction
an advance.

(c) On death of a subscriber :

Subject to any deductions under rule 22 ,on the death of subscriber before the amou-
nt standing to his credit has become payable ,or where the amount has become paya-
ble ,before payment has been made:-

(a) When a subscriber leaves a family :-

(i) if the nomination made by the subscriber in accordance with the provisions
of rule 5 in favour of a member or members of his family subsits, the amou-
nt standing to his credit in the Fund or his nominee or nominees in the prop-
ortion specified in the nomination.

(ii) if no such nomination in favour of a member or members of the family of

the subscriber subsits or if such nomination relates only to be a part of
amount standing to his/her credit in the Fund ,the whole amount or part
thereof to which the nomination does not relate,as the case may be, shall
notwithstanding any nomination purporting to be in favour of any persons
other than a member or members of his family ,become payable to the
members of the family in equal shares:--

Provided that no share shall be payable to

(1) sons who have attained the age of majority ;

(2) sons of a deceased son who have attained the age of manority ;
 (3) married daughter whose husband is alive ;

(4) married daughter of a deceased son whose husband is alive.

if there is any member of the family other than those specified in sub-clauses (1)
,(2) ,(3) and (4) ;

Provided further that the window or windows and the child or children of a
deceased son shall receive between them in equal parts only the share which
that son would have if he had survived the and had been exempted from the pro-
visions of clause (1) of the proviso.

Note:- Any sum payable under these rules to a member of the family of a subscriber ves-
ts in such member under the sub section (2) of section 3 of the Provident Fund
Act 1925.

(b) When the subscriber leaves no family if a nomination made by him in accordan-
ce with the provision of rule 5 in favour of any person or persons subsits ,the
amount standing to his credit in the fund or the part therof to which the nomi-
nation relates, shall become payable to his nominee or nominees in the propor-
tion specified in the nomination..

Note-1. When a nominee is dependent on the subscriber in clause (c) of section 2,

of the Provident Funds Act 1925 , the amount vests in such nominee sub-
section (2) of section 3 of the Act.

Note-2. When the subscriber leaves no family and no nomination made by him in
accordance with the provisions of rule 5 subsists , or if such nomination
relates only to part of the amount standing to his credit in the Fund ,the
relevant provision of clause (b) and sub-clause (2) of clause (c) of sub-
section (1) of section 4 of the Provident Fund Act, 1925 are applicable
to the whole amount or the thereof to which the nomination does not rlate.

21. Deposit linked Insurance Scheme :

On the death of a subscriber, the person entitled to receive the amount standing to the
credit of the subscriber shall be paid by the Head of Office, an additional amount
equal to the average amount of subscription and interest thereon at the credit in the
account during the 3 years immediately preceding the date of death of such subscrib-
er, subject to the following conditions, namely:-

(a) the balance representing subscription with interest thereon at the credit of such
subscriber shall not at any time during the 3 years preceding the month of death
have fallen below the limits of –
 (i) Rs. 4,000 in the case of subscriber who has held ,for the greater part of the
aforesaid period of three years ,a post the maximum of the pay scale of which
is Rs. 1300 or more;

(ii) Rs. 2500 in the case of subscriber who has held for the greater part of the
aforesaid period of three years, a post maximum of the pay scale of which
is Rs. 900 or more but less than Rs. 1300.

(iii) Rs. 1500 in the case of subscriber has held, for the greater part of the aforesa-
id period of three years, a post maximum of the pay scale of which is Rs. 291.

(iv) Rs. 1000 in the case of subscriber who has held ,for the greater part of the
aforesaid period of three years, a post the maximum of the pay scale of which
is less than Rs. 291;

(b) the additional amount payable under this rule shall not exceed Rs.10,000 ;

(c) the subscriber has put in not less than five years of service at the time of his death.

Note-1. The average balance shall be worked out on the basis of the balance at the
month in which the death occurs For this purpose, as also for checking the
minimum balance specified above,-

(a) the balance at the end of March shall include the annual interest on
subscription credited in terms of rule 12 ; and

(b) if the last of the aforesaid thirty six months is not much , the balance at
the end of the said last month shall include interest in respect of the
period from the beginning of the financial year in which death occurs to
the end of the said last month .

Note-2. Payments under this scheme should be in whole rupees. If an amount due
includes a fraction of a rupee, it should be rounded the nearest rupee (fifty
paise counting as the next higher rupee) .

Note-3. Any sum payable under this scheme is in the nature of insurance money and
therefore ,the statutory protection given by section 3 of the Provident Fund
Act ,1925 (19 of 1925) does not apply to sums payable under this scheme .

Note-4. (a) in case of an employee of the Council or Agency who has been admitted
to the benefits of the Fund under sub-rule (3) of rule 4 but dies before com-
pletion of three years service or as the case may be , five years service from
the date of his admission to the Fund, that period of his service under the
previous employer in respect where of the amount of his subscription and
the employer’s contribution, if any , together with interest have been
 received shall count for purpose of clause (a) and clause(c) of this rule.

(b) in case of persons appointed on tenure basis and in the case of re-
employed pensioners ,service rendered from the date of such app-
ointment of re-employment, as the case may be only will count for
the purposes of this rule.

(c) this scheme does not apply to persons appointed on contact basis .

22. Deductions :

Subject to the condition that no deduction may be made which reduces the credit by
more than the amount of any contribution by Council or Agency with interest thereon
credited under rule 10 and 12, before the amount standing to the credit of the subscri-
ber in the Fund is paid out of the Fund—

(A) the Head of Office may direct deduction there from and payment to
Council or Agency of—

(i) all amounts representing such contribution and interest if the subscriber is
dismissed from service due to misconduct :

Provided that where the Head of Office is satisfied that such deduction
would cause exceptional hardship to the subscriber, he may , by order,
exempt form such deduction an amount not exceeding the third of the
amount of such contribution and interest and interest which would have been
payable to the subscriber, if he had retired on medical grounds :

Provided further that if any such of dismissal is subsequently cancell-

ed ,the amount so deducted shall on his reinstatement in the service, be repla-
ced to his credit in Fund.

(ii) all amounts representing such contribution and interest if the subscriber,
within five year of the commencement of his service as such ,resign from the
service or ceases to be an employee under the Council or Agency otherwise
than by reason of death, superannuation ,or a declaration by a competent me-
dical authority that he is unfit for further service, or the abolition of the post
reduction of establishment.

(B) the Head of Office may direct the deduction therefrom any payment to the
Council/Agency of any amount due under liability by a subscriber to the Council
or Agency .

Note-1. For the purpose of sub-clause (2) of clause (A) of this rule –
 (a) the period of five years shall be reckoned from the commencement of the
subscriber’s continuous service under the Council or Agency ,

(b) resignation from service in order to take up appointment in another depart-

ment of the Central Government or under the State Government or under a
Body corporate owned or controlled by the Government or an autonomous
organisation, without any break and with proper permission of the Central
Government, shall not be treated as resignation from Government service.

Note-2. The power of the Head of Department under the rule may ,in respect of the
amounts referred to therein, also be exercised by the authority competent to
sanction an advance for the grant of which special reasons are required to be
stated under sub-rule (2) of rule 15

23. Manner of payment of amount in the Fund :

(1) When the amount standing to the credit of a subscriber in the Fund or the balance
thereof after any deduction under rule 22 becomes payable, it shall be disbursed
on receipt of a written application in this behalf from subscriber, or his nominee ,
the manner specified in sub-rule (2),

(2) the person(s) to whom the amounts are payable shall make his/their own arrange-
ments to receive payment in India only after submitting an application in the
prescribed/ resignation or death as the case may be. The authority competent to
release the amount from the Fund ,shall,after,verification of the Fund account,
issue an authority to the disbursing officer for final payment.

24. Investments :

(1) All sums paid into the Fund under these rules shall be credited in the Accounts of
the Council or Agency separately named “the Export Inspection Council Contrib-
utory Provident Fund Accounts” . All moneys contributed to such Funds or
received or accruing by way of interest or otherwise to such funds shall, within
fifteen days from the date of contribution or receipt of accrual, be deposited or
invested in the following manner –

(i) deposited in a post office savings bank account or in special account to be

opened for the purpose in the State Bank of India or in any Nationalised Bank;

(ii) Invested in security mentioned or referred to in clause (a) to (f) of section 20

of the Indian Trust Act 1882 (22 of 1882)

(2) After crediting of interest to the subscriber’s account as contained in rule 12, the
 difference in the interest accrued shall continue to be invested in the manner as
indicated in sub-rule(1) .The mode of disposal or utilisation of such sums shall be
decided by the Government as may be deemed necessary in this regard from time
to time.

25. Procedure on transfer to pensionable service :

(1) If subscriber is permanently transferred to pensionable service under the Council

or Agency he shall, at his option, be entitled,--
(a) to continue to subscribe to the Fund in which case he shall not be entitled to
any pension ; or

(b) to earn pension in respect or such pensionable service, in which case, with
effect from the date of his permanent transfer—

(i) he shall cease to subscribe to the Fund ;

(ii) the amount of contributions by the Council or Agency with interest

thereon standing to his credit in Fund shall be repaid to the Council or
Agency ;

(iii) the amount of subscription together with interest thereon standing to his
credit in the Fund shall be transferred to his credit in the General Provide-
nt Fund, to which he shall subscribe in accordance with the rules of that
Fund ; and

(iv) he shall be entitled to count towards pension service, rendered prior to the
date of permanent transfer, to the extent permissible under the Export
Inspection Council Pension and General Provident Fund Rule , 1981.

(2) See page no. 22

26. Relaxation of the provisions of the rules in individual cases :

When the Chairman or the Director is satisfied that the operation of any of rules
causes or is likely to cause undue hardship to a subscriber he may notwithstanding
anything contained in these rules, deal with the case of such subscriber in such
manner as may appear to him to be just and equitable.

27. Interpreation :

(1) Save as other expressly provided in the rules, the Government of India decisions
under Contributory Provident Fund Rule (India) 1962 shall be applicable in the
interpretation of the rules .
 (2) If any question arises relating to the interpretation of these rules it shall be
referred to the Council for decision .

28. Repeat and Saving :

The Export Inspection Council Contributory Provident Fund Rules, 1969 , and the
Export Inspection Agency Contributory Provident Fund Rules, 1969 respectively ,
notified under the notifications of the Government of India in the Ministry of Foreign
Trade and No. S.O. 2413 and No. S.O. 2414 dated the 24th May , 1969 are hereby
repealed.

Provided that any order made or action taken under the rules so repealed, shall
be deemed to have been made or taken under the corresponding provisions of these
rules.

Sd/-
(N. S. Hariharan)
Director
(F. No. 3/12/76-E I . & E.P)

EXPORT INSPECTION COUNCIL

DEATH-CUM-RETIREMENT GRATUITY RULES,1981
(Amended upto 31.12.1986)

New Delhi, the 30th May,1981

S. O. 1607 In exercise of the powers conferred by Section 17 of the Export (Quality

Control and Inspection ) Act, 1963 (22 of 1963 ), the Central Government hereby makes
the following rules namely :

1. Short title and commencement :

(1) These rules may be called the Export Inspection Council Death-cum-Retirement
Gratuity Rules, 1981 .

(2) They shall come into force on the date of their publication in the official Gazatte.

2. Definitions :

In these rules, unless the context otherwise requires:-

(a) “Act” means the Export (Quality Control and Inspection ) Act, 1963, (22 of 1963).

(b) “Council” means the Export inspection Council established under section 3 of the
Act.

(c) “ Agency means the Export Inspection Agency- Bombay /Calcutta/ Cochin / Delhi /
& Madras, established under Section 7 of the Act .

(d) “Chairman” means Chairman of the Export Inspection Council .

(e) “Director” means Director of Inspection and Quality Control of the Council .
(f) “ each year of the completed service” means a period of 12th months service
rendered by the employees reckoned from the date of his/her joining the Council.

(g) “employee” means the whole time regular employee of the Council whose name
appears on the pay roll of the Council .

(h) “family” shall include the following :--

(i) wife or wives including judicially separated wife or wives in the case of a
male employee.

(ii) husband including judicially separated husband in the case of a female

employee.

(iii) sons

(iv) unmarried and widow daughter (including step children and adopted children)

(v) brothers below the age of 18 years and unmarried and widowed sisters
(including step brothers and step sisters.)

(vi) Father {including adoptive parents in the case of individuals whose

(vii) Mother { personal law permits odoption.}

(viii) married daughters, and

(ix) children of a pre-deceased son.

(i) “Fund” means the Gratuity Fund as stipulated hereunder.

(j) “permanent total disability” means disability resulting from any disease/injury
which in the opinion of the council makes the employees concerned totally
incapable of rendering service to the Council.
 Explanation :

For the purpose of this rule, total disablement means such disablements as incapaci-
tates an employee for the work which he was capable of performing before the
accident or disease either bodily or mental infirmity resulting in such disablement :

Provided that such requests for considering an employee to be declared as

permanently disable should be made in writing to the Head of Office or Department
together with a medical certificate from the Medical Board in the case of officers
whose maximum scale of pay of the post is Rs. 900 and above and in other cases
Civil Surgeon or District Medical Officer of equivalent rank and in case of female
employee, a lady doctor shall be included as member of the Medical Board.

(k) “qualifying service” means rendered by a person after completion of 18 years of

age on regular basis including the period spent on probation from the date of his/
her appointment or absorption in Council but the extra-ordinary leave other than
extra-ordinary leave granted on medical certificate without salary will not be
counted for the purpose.

[Provided that in the case of extraordinary leave other than extra-ordinary

leave
granted on medical certificate the appointing authority may, at the time of granting
such leave, allow the period of that leave to count as qualifying service if such leave
is granted to the employee:--

(i) due to his/her inability to join or rejoin on account of civil commotion,or

(ii) for prosecuting higher scientific and technical studies .

(l) “emoluments” means pay, official pay, special pay, dearness pay, or any other
amounts specially declared as such, which the employee was receiving immedia-
tely before retirement/on the date of his/her death. For the purpose of gratuity the
emoluments so calculated are subject to a maximum of [Rs. 4000/-] per mensum.

(m) “Head of Office” means an officer declared as such by the Director.

3. Applicability of Rules :

These rules shall apply to all the whole time and regular employee of the Export
Inspection Council who were in service as on the date of issue of this notification and are
governed by the Export Inspection Council Contributory Provident Fund Rules and shall
exclude the following ;--

i) casual and non-regular employees.

 ii) government servants and other employees on deputation basis other than Agency
employees.

iii) employees on contract basis.

iv) apprentices and trainees.

v) re-employed persons.

Provided that these rules shall not be applicable to those who enter service after
introduction of Pension Scheme.

4. Eligibility :

An eligible person shall be granted gratuity under the rules in the following
circumstances :-

(a) retrenchment on abolition of post or reduction of establishment .

(b) retirement due to permanent disability due to bodily or medical infirmity.

(c) retirement on attaining age of superannuation .

(d) resignation.

5. Qualifying Period :

Except in the case of death, gratuity will be admissible only after 5 years qualifying
service.

6. Amount of Gratuity Admissible :

Gratuity will be payable as described hereunder :-

(a) Except on the death or permanent total disablement of the employee etc. one
fourth of emoluments for each completed six monthly period of qualifying service
subject to a maximum of a 161/2 times the emoluments or [Rs. 50,000/-]

whichever is less :

(b) In the case of death, the amount of gratuity will be as calculated under (a) above
or as worked out below, whichever be more :

(i) during the first year ,of service 2 months’ emoluments

 (ii) after one year but before 5 year’s service 6 months’ emoluments

(iii) after completion of 5 year’s service 12 months’ emoluments

7. Retirement on Completion of 20 Years of Service :

(a) At any time after the Council employee has 20 years of qualifying service, he/she
may, by giving notice of not less than 3 months in writing to the appointing
authority, retire from service.

(b) The notice of volunatry retirement given under sub-rule (a) above shall requirement
acceptance by the appointing authority :

Provided that where the appointing authority does not refuse to grant
permission for retirement before expiry of the period specified under the said notice,
the retirement shall become effective from the date of expiry of the said period .

(c) The qualifying service as on date of intended retirement of the Council employee
retiring under this rule shall be increased by a period not exceeding five years. in
any case exceed [thirty three years]6 and it does not take him/her beyond the date
of super-annuation.

[Provided that the weightage of five years under this sub-rule shall not be
admissible in cases of those employees who are permaturely retired by the
Council in public interest under Clause (1) Rule 56 oif the Fundamental
Rules]

(d) The Council employee who has elected to retire under this rule and has given the
necessary notice to that effect to the appointing authority shall be precluded from
withdrawing his notice except with the specific approval of such authority

Provided that request for withdrawal shall be made before the intended date
of his retirement.

(e) Death-cum-retirement Gratuity of the employee retiring under this rule shall be
based on the emolument as defined under rule 2 (I) and the increase not exceeding
5 years in his/her qualifying service shall not entitle him to any notional fixation of
pay for purpose of calculating gratuity.

(f) This rule shall not apply to Council employee who retire from Council service for
being absorbed permanently in an autonomous body or a public sector undertaking
or the Central/State Government department to which he/she is on deputation at the
time of seeking voluntary retirement.
8. The Gratuity shall be payable only in India, as and when sanctioned by the sanctioning
authority.

9. All the dues recoverable from the employee can be recovered in full while making
payment to him/her to his/her legal heir(s) in case of death.

10. Competent Authority :

The Authority competent to sanction gratuity shall be:

(a) For posts carrying pay/scale of pay maximum of Director.

which does not exceed Rs. 2000/-

(b) For posts carrying pay/scale of pay maximum of Chairman.

which does not exceed Rs. 3000/-

11. Composition of the Fund :

No separate fund for this purpose will be created. It will be derived on accrual basis
as and when need arises.

12. Nomination/ variation of nomination :

(1) Every employee on joining the service shall make a nomination in a prescribed form
(given Annexure 1 to 11) nominating one or more persons of his/her family the right to
receive the gratuity in the event of his/her death indicating the share payable to each
member. In case the employee has no family, the nomination may be made in favour
person/persons or body of persons corporate or non-corporate. Every nomination made
nomination made and every notice or cancellation given by an employee shall be filed
with the Head of Office.

[Provided that if at the time of making the nomination the employee has a family,
the nomination shall not be in favour of any person or persons other than the
members of his family]

(2) He shall countersign the nomination indicating the date of receipt. An acknowled-
gement will be sent to every employee on the receipt of nomination. In the event
of there being n nomination the gratuity on death may be paid in the following man-
ner:-

(a) If there are one or more surviving members of the family, it may be paid to all
such members other than any such member who is widowed daughter in equal
 shares.

(b) If there are no surviving members of the family but there are one or more surviving
widowed daughters and/or one more surviving members of the family the gratuity
may be paid to all such members in equal shares.

(c) In case an employee dies while in service or after retirement without receiving any
amount of gratuity and leave behind no nomination made by him or the nomination
made by him does not subsist the amount of Death-cum-Retirement Gratuity payab-
le to him shall lapse to the Export Inspection Council.

(3) An employee may provide in the nomination--

(a) that in respect of any specified nominee who predeceases the employee , or who
dies after the death of the employee but before receiving the payment of gratuity
, the right conferred on that nominee shall pass to such other person as may be
specified in the nomination;

Provided that if at the time of making the nomination the employee has a fam-
ily consisting of more than one member, specified shall not be a person other than
a member of his family ;

Provided further that where an employee has only one member in his family,
and nomination has been made in his favour, it is open to the employee to nomin-
ate alternate or nominees in favour of any person or a body of individuals,whether
incorporated or not ;

(4) The nomination made by an employee who has no family at the time of making it, or
the nomination made by the employee under the second proviso to clause (a) of sub-
rule (3) where he has only one member in his family shall become invalid in the
event of the employee subsequently acquiring a family or an additional member in
the family, as the case may be.

(5) An employee may, at any time, cancel a nomination by sending a notice in writing to
the Head of Office :

Provided that he shall, alongwith such notice, send a fresh nomination made in
accordance with this rule .

(6) Immediately on the death of a nominee in respect of whom no special provision has
has been made in the nomination under clause (a) of sub-rule (3) or on the occurren-
ce of any event by reason of which the nomination becomes invalid in pursuance of
clause (b) of that sub-rule, the Government servant shall send to the Head of Office
a notice in writing cancelling the nomination together with a fresh nomination made
in accordance with this rule.
 (7) (a) Every nomination made including every notice of cancellation, if any, given by
an employee under this rule, shall be sent to the Head of Office .

(b) The Head of Office shall, immediately on receipt of such nomination counter-
sign it indicating the date of receipt and keep it under his custody;

(c) Provided that the Head of Office may authorise his subordinate officers to coun-
tersign nomination forms.

(8) Every nomination regarding receipt of nomination shall be made in the service book
of the employee shall, to extent it is valid, take effect from the date on which it is
received by the Head of Office.]

13. Members not entitled to assign or transfer their entitlement :

No employee is eligible to transfer of assign whether by way of security or otherwise

his/her entitlement and no such transfer or assignment shall be valid and the Council
shall not recognise or be bound by notice to them or any of them of any transfer or
assignment.

14. Interpretation :

If any question arises relating to the interpretation of these rules, it shall be referred to
Export Inspeciton Council who shall decide the same.

[Provided that the Council employee may appeal against matters relating to the
interpretation of these rules to the Central Government whose decision shall be
final.]

FOOT NOTE : The Principal rules were notified vide S .O. No. 1607 dated 30.5.1981 at
amended by S .O. 2140 dated 12.6.1982, S.O. No. 830 dated 17.3.1984,
S.O. No. 832 dated 17.3.1984 and S.O. No. 5225 dated 16.11.1985.
 FORMS
FORM-1
(See Rule 12)

NOMINATION FOR DEATH-CUM-RETIREMENT GRATUITY

When the Council employee has a family and wishes to nominate one member, or more
than one member, therof.

I.........................................hereby nominate the person/persons mentioned below who

is /are member(s) of my family, and confer on him/them the right receive, to the extent
specified below, any gratuity that may be sanctioned by the Council in the event of my
death while in service and the right to receive on my death to the extent specified below
,any gratuity which having become admissible to me on retirement may remain unpaid at
my death :--
 Original nominee (s) Alternate nominee (s)
Name & Relationship Age Amount of Name, address, Amount or
Address of with the share gratuity relationship & share of
nominee Council payable to age of the gratuity
employee each.* persons if any, payable to
to whom the each.**
right conferred
on the nominee
shall pass in the
event of the
nominee
prodeceaing the
Council
employee or the
nominee dying
after the death
of the Council
employee but
before receiving
payment of
gratuity.

(1) (2) (3) (4) (5) (6)

*This column should be filled in so as cover the whole amount of the gratuity.
**The amount/share of the gratuity shown in this column should cover the whole
amounts/share payable to the original nominee.

This nomination supersedes the nomination made by me earlier on....................................

.......................................................which stands cancelled .
NOTE :- (1) The Council employee shall draw lines across the blank space below the
last entry to prevent the insertion of any name after he has signed.
(2) Strike out which is not applicable.

Dated, this..............................day of......................198 at......................................

Witness to signature :
1................................
2................................
Signature of the Council Employee.

(To be filled in by the Head of Office)

Nomination by.............................................. Signature of Head of Office.

Designation................................................... Date......................................

Office............................................................ Designation...........................

Proforma for Acknowledgement the Receipt of the Nomination form by the Head of
Office.

To
............................................
............................................
............................................
Sir
In acknowledging the receipt of your nomination, dated the.................................../
cancellation, dated the ............................of nomination made earlier in respect of
gratuity in Form......................................,I am to state that it has been fully placed on
record.
Signature of Head of Office.

Place................................ Designation.......................................
Dated the.........................

Note:-The Council Employee is advised that it would be in the interest of his nominee(s)
if copies of the nominations and the related and acknowledgements are kept in safe
custody so that they may come into the possession of the beneficiaries in the event of his
death.
 FORM-2
(See Rule 12)

NOMINATION FOR DEATH-CUM-RETIREMENT GRATUITY

When the Council employee has no family and wishes to nominate one person or more
than one person.

I............................................having family, hereby nominate the person/persons

mentioned below and confer on him/them the right to receive, to the extent specified
below, any gratuity that may be sanctioned by the Council in the event of my death while
in service and the right to receive on my death, to the extent specified below, any gratuity
which having become admissible to me on retirement may remain unpaid at my death:-
Original nominee(s) Alternate nominee(s)
 Name & Addresss Relationship Age [Contingency Name, address, Amount or
of with the on the relationship & share of
nominee/nominees. Council happening of age or persons gratuity
employee. which th if any, to whom payable to
nomination the right each**
shall conferred on
invalid]@ the nominee
prodeceasing
the Council
employee or
the nominee
dying after the
death of the
Council
employee but
before
receiving
payment of
gratuity.

(1) (2) (3) (4) (6) (7)

*This columns should be filled in so as to cover the whole amount of the gratuity.
**The amount/share of the gratuity shown in this column should cover the whole
amount/share payable to the original nominees(s).

This nomination supersedes the nomination made by me earlier on.................................

which stands cancelled.
Note:- (1) The Council employee should draw lines across blank space below the last
entry to prevent the insertion of any name after he has signed.
(2) Strike out which is not applicable.

Dated this..................................day of..............................198 at....................................

Witness to signature.
1..........................................
2..........................................
 Signature of Council Employee.

(To be filled in by the Head of Office)

Nomination by.......................................
Designation...........................................
Office.....................................................
Signature of Head of Office.

Date......................................
Designation...........................

Proforma for Acknowledgement the Receipt of the Nomination form by the Head of
Office.

To
..........................................
.........................................
.........................................
Sir,
In acknowledgement the receipt of your nomination, dated the............../cancellation,
dated the.....................of the nomination made earlier in respect of gratuity Form...............
............I am to state that it has duly placed on record.

Place............................... Signature of Head of Office.

Dated the........................ (Designation)

NOTE :1.The Council employee is advised that it would be in the interest of his
nominee(s) if copies of the nomination and the related notices and acknowledgement are
kept in safe custody so that may come into the possession of the beneficiaries in the event
of his death.
[NOTE: 2.A nomination shall become invalid in case of a subscriber who had no family
at the time of nomination subsequently acquiring a family. Subscriber should clearly
indicate such contingency clause in the nomination and the share payable]*
 Ministry of Commerce
Government of India

EXPORT INSPECTION AGENCY DEATH-CUM-RETIREMENT

GRATUITY RULES , 1981.
(Amended upto 31.12.1986)

NEW DELHI, the 30 May , 1981

S.O.1608 In exercise of the powers conferred by Section 17 of the Export (Quality

Control and Inspection) Act, 1963(22 of 1963), the Central Government hereby makes
the following rules namely:

1. Short title and commencement:

(1) These rules may be called the Export Inspection Agency Death-cum-Retirement
Gratuity Rules, 1981.

(2) They shall come into force on the date of their publication in the official Gazette.

Definition:

In these rules, unless the context otherwise requires:-

(a) “Act” means the Export (Quality Control and Inspection) Act, 1963 (22 of 1963)
(b) “Council” means the Export Inspection established under Section 3 of the Act.
(c) “Agency means the Export Inspection Agency- Bombay/Calcutta/Cochin/Delhi &
Madras, established under Section 7 of the Act.
(d) “Chairman” means the Chairman of the Export Inspection Council,
(e) “Director” means Director of Inspection and Quality Control of the Council.
(f) “Each” year of the completed service means a period of 12 months service rendered
by the employees reckoned from the date of his/ her joining the Agency.
(g) “Employee” means the whole time regular employee of the Agency whose name
appears on the pay roll of the Agency.
(h) “Family” shall include the following :-
(i) wife or wives including judicially separated wife or wives in the case of a male
(ii) husband including judicially separated husband in the case of a female
employee.
(iii) sons
(iv) unmarried and widowed daughter (including step children and adopted chil
children.)
(v) brother below the age of 18 years } (including step brothers and step sisters)
and unmarried and widowed sisters.
(vi) Father including adoptive parents in the case
(vii) Mother } of individuals whose personal law per-
mits adoption.
 (viii) married daughter,and
(ix) children of a pre-deceased son.]

(i)”Fund” means the Gratuity Fund as stipulated hereunder.

(j) “permanent total disability” means disability resulting from any disease/injury
which in the opinion of the Council makes the employees concerned total inca-
pable of rendering service to the Agency.

[Explanation :
For the purpose of this rule,total disablement means such disablement as incapaci-
ates an employee for the work which he was capable of performing before the
accident or diseases either bodily or mental infirmity resulting in such disablement :

Provided that such requests for considering an employee to be declared as per-

manently disable should be made in writing to the Head of Office of Department
together with a medical certificate from the Medical Board in the case of officers
whose maximum scale of pay of the post is Rs. 900 and above and in other cases
Civil Surgen or District Medical Officer or Medical Officer of equivalent rank and
in case of female employee, a lady doctor shall be included as a member of the
Medical Board]

(k) “qualifying service” means service rendered by a person after completion of 18

years of age on regular basis the period spent on probation from the date of his/
her appointment or absorption in Agency but the extra-ordinary leave [other than
extra-ordinary leave granted on medical certificate]

[Provided that in the case of extra-ordinary leave other than extra-ordinary

leave granted on medical certificate the appointing authority may, at the time
of granting such leave, allow the period of that leave to count as qualifying ser-
vice if such leave is granted to the employee:-

(i) due to his/her inability to join or rejoin on account of civil commotion, or

(ii) for prosecuting higher scientific and technical studies]

(l) “emoluments” means pay, officiating pay, special pay, personal pay, or any other
amounts specially declared as such, which the employee was receiving immedia-
tely before retirement/on the date of his/her death. For the purpose of gratuity the
emoluments so calculated are subject to a maximum of [Rs. 4000/- ]

3. Applicability of Rules :

These rules shall apply to all the whole time and regular employee of the Export
Inspection Agency who were as on the date of issue of this notification and are governed
by the Export Inspection Agency Contributory Provident Fund Rules and shall exclude
the following :-

i) casual and non-regular employees.

ii) government servants and other employees on deputation basis other than Agency
employees.

iii) employees on contract basis.

iv) apprentices and trainees.

v) re-employed persons.

Provided that these shall not be applicable to those who enter service after introduc-
tion of Pension Scheme.

4. Eligibility :

An eligible person shall be granted gratuity under the rules in the following circumsta-
nces :-

(a) retrenchment on abolition of post reduction of establishment.

(b) retirement due to permanent disability due to bodily or mental infirmity.

(c) retirement on attaining age of superannuation.

(d) resignation.

5. Qualifying Period :-

Except in the case of death, gratuity will be admissible only after 5 years qualifying
service.

6. Amount of Gratuity Admissible :

Gratuity will be payable as described hereunder :-

(a) Except on the death or permanent total disablement of the employee etc. One fourth
of emoluments for each completed six monthly period of qualifying services subje-
ct to a maximum of a 161/2 times the emoluments or [Rs. 50,000/-] whichever is
is less.

(b) In the case of death, the amount of gratuity will be as calculated under (a) above or
as worked out below, whichever be more :

(i) during the first year of service 2 months’ emoluments

 (ii) after one year but before 5 year’s service 6 months’ emoluments

(iii) after completion of 5 years’ service 12 month’s emoluments

7. Retirements on Completion of 20 Years of Service :

(a) At any time after the Agency employee has completed 20 years of qualifying
service, he/she may, by giving notice of not less than 3 months in writing to the
appointing authority, retire from service.

(b) The notice of voluntary retirement given under sub-rule (a) above shall require
acceptance by the appointing authority :

Provided that where the appointing authority does not grant permission for retir-
ement before expiry of the period specified under the said notice, the retirement
shall become effective from the date expiry of the said period.

(c) The qualifying service as on date of intended retirement of the Agency employee
retiring under his rule shall be increased by a period exceeding five years. However
,the total qualifying service rendered by the Agency employee shall not in any case
exceed [thirty three years] and it does not take him/her beyond the date of super of
super-annuation.

[Provided that the weightage of five years under this sub-rule shall not be
admissible in case of those employees who are prematurely retired by the
Council in public interest under Clause (i) of Rule 56 of the Fundamental
Rules.]

(d) The Agency employee who has elected to retire under this rule and has given the
necessary notice to that effect to the appointing authority shall be precluded from
withdrawing his notice except with specified approval of such authority :

Provided that request for withdrawal shall be made before the intended date
of his retirement.

(e) Death-cum-retirement Gratuity of the employee retiring under this rule shall be
based on the emoluments as defined under rule 2 (I) and the increase not exceedi-
ng 5 years in his/her qualifying service shall not entitle him to any national fixati-
on of pay for purposes of calculating gratuity.

(f) This rule shall not apply to Agency who retire from Agency service for being
absorbed permanently in an autonomous body or a public sector undertaking or
the Central/State Government department to which he/she is on deputation at the
time of seeking voluntary retirement.

8. The Gratuity shall be payable only in India, as and when sanctioned by the sanctioni-
 ng authority .

9. All the dues recoverable from the employee can be recovered in full while making
payment to him/her to his/her legal heir(s) in case of death.

10. Competent Authority :

The Authority competent to sanction gratuity shall be :
(a) For posts carrying pay/scale of pay maximum of Director.
which does not exceed Rs. 2000/-.

(b) For posts carrying pay/scale of pay maximum of Chairman.

which does not exceed Rs. 3000/-.

11. Composition of the Fund :

No separate fund for this purpose will be created. It will be derived on accrual basis
as and when need arises.

12. Nominaiton/variation of nomination :

(1) Every employee on joining the service shall make a nomination in a prescribed
form (given Annexure I to II) nominating one or more persons of his/her family
the right to receive the gratuity in the event of his/her death indicating the share
payable to each member. In case the employment has no family, the nomination
may be made in favour person/persons or body of persons corporate or non
corporate. Every nomination made and every notice or cancellation given by an
employee shall be filled with the Head of Office.

[Provided that if at the time of making the nomination the employee has family
,the nomination shall not be in favour of any person or persons other than the
members of his family]

(2) He shall countersign the nomination indicating the date of receipt . An acknowl-
edgement will be sent to every employee on the receipt of nomination. In the
event of there being no nomination the gratuity on death may be paid in the
following manner.

(a) If there are one or more surviving members of the family, it may be paid to
all such members other than any such member who is widowed daughter in
equal shares.
(b) If there are no surviving members of the family but there are one or more
surviving widowed daughters and/or one or more surviving members of the
family the gratuity may be paid to all such members in equal shares.
(c) If in case an employee dies while in service or after retirement without
receiving any amount of gratuity and leave behind no nomination made by
him or the nomination made by him does not subsist the amount of Death-
cum-Retirement Gratuity payable to him shall lapse to the Export Inspection
 Agency.
(3) An employee may provide in the nomination-

(a) that in respect of any specified nominee who predeceases the employee, or
who dies after the death of employee but before receiving the payment of
gratuity, the right conferred on that nominee shall pass to such other
person as may be specified in the nomination ;

Provided that if at the time of making the nomination the employee

has a family consisting of more than one member, the persons, specified
shall not be a person other than a member of his family ;

Provided further that where an employee has only one member in

his family, and nomination has been made in his favour, it is open to the
employee to nominate alternate nominees in favour of any person or a
body of individuals, whether incorporated or not ;

(b) that the nomination shall become invalid in the event of the happening of
the contingency provided therein.

(4) The nomination made by an employee who has no family at the time of
making it, or the nomination made by an employee under the second prov-
so to clause (a) of sub-rule (3) where he has only one member in his family
shall become invalid in the event of the employee subsequently acquiring
a family or an additional member in the family, as the case may be.

(5) An employee may, at any time, cancel a nomination by sending a notice in

writing to the Head of Office :

Provided that he shall, alongwith such notice, send a fresh nomination

made in accordance with rule.

(6) Immediately on the death of a nominee in respect of whom no special prov-

vision has has been made in the nomination under clause (a) of sub-rule (3)
or on the occurrence of any event by reason of which the nomination bec-
omes invalid in pursuance of clause (b) of that sub-rule ,the Government
servant shall send to the Head of Office a notice in writing cancellation
together with a fresh nomination made in accordance with this ruile.

(7) (a) Every nomination made including every notice of cancellation, if any,
given by an employee under this rule, shall be sent to the Head of
Office.
(b) The Head of Office shall, immediately on receipt of such nomination
countersign it indicating the date of receipt and keep it under his
custody ;
 Provided that the Head of Office may authorise his subordinate
officers to countersign nomination forms .
(c) See page no. 42
8. Every nomination made, and every notice of cancellation given, by an
an employee shall, to the extent that it is valid, take effect from the date on
which it is received by the Head of Office.]

13. Member not entitled to assign or transfer their entitlement :

No employee is eligible to transfer or assign whether by way of security or otherwise
his/her entitlement and no such transfer or assignment shall be valid and the Agency
shall not recognise or be bound by notice to them or any of them of any transfer oir
assignment.

14. Interpretation :
If any question arises relating to the interpretation of these rules, it shall be referred to
the export Council who shall decide the same.

[Provided that the Agency employee may appeal against matters relating to the
interpretation of these rules to the Central Government whose decision shall be
final.]

FOOT NOTE : The Principal rules were notified vide S.O. No. 1608 dated 30.5.1981 and
amended by S.O. No. 2141 dated 12.6.1982, S.O. No. 829 dated
17.3.1984, S.O. No. 831 dated 17.3.1984 and S.O. 5394 dated on
30.11.1985.
 FORMS
FORM-1
(See Rule 12)

NOMINATION FOR DEATH-CUM-RETIREMENT GRATUITY

When the Agency employee has and wishes to nominate one member, or more than one
member, thereof.

I.....................................hereby nominate the person/persons mentioned below who

is/are member (s) on my family, and confer on him/them the right to receive, to the extent
specified below, any gratuity, that may be sanctioned by the Council in the event of my
death while in service and the right to receive on my death to the extent specified below,
any gratuity which having become admissible to me on retirement may remain unpaid ay
my death :-

Original nominee (s) Alternate nominee (s)

Name & Relationship Age Amount of Name,address,relation- Amount or
Address of with the share of & age or the person or share or
nominees Agency gratuity if any, to whom the gratuity
employee. payable to right conferred on the payable to
each* nominee shall pass in each**
the event of the
nominee prodeceasing
the Agency employee
or the nominee dying
after the death of the
Agency employee but
before receiving
payment of gratuity.

(1) (2) (3) (4) (5) (6)

*The column should be filled in so as to cover the whole of the gratuity .

**:The amount/share of the gratuity shown in this column cover the whole amounts/share
payable to the original nominee.
This nomination supersedes the nomination made by me earlier on ...................................
........................................which stands cancelled .
NOTE:- (i) The Agency employee shall draw lines across the blank spaces
below the last entry to prevent the insertion of any name after he has
signed.
(ii) Strike out which is not applicable.

Dated, this..............................day of...................198 at..............................................

Witness to signature :
1...............................
2...............................
Signature of Agency Employee

(To be filled in by the Head of Office)

Nomination by.................................... Signature of Head of Office

Designation........................................ Date....................................
Office.................................................. Designation.........................

Proforma for Acknowledgement the Receipt of the Nomination from by the Head of
Office.

To
....................................
...................................
....................................
Sir
In acknowledgement the receipt of your nomination, dated the................................../
cancellation, dated the..........................of nomination made earlier in respect of gratuity in
Form.................................................., I am to state that it has been fully placed on record.

Signature of Head of Office

Place...................................... Designation..........................
Dated the................................

Note:-The Agency Employee is advised that it would be in the interest of his nominee (s)
if copies of the nominations and the related notices and acknowledgement are kept in safe
custody so that may come into the possession of the beneficiaries in the event of his
death.
 FORM-II
(See Rule 12)

NOMINATION FOR THE DEATH-CUM-RETIREMENT GRATUITY

When the Agency employee has no family and wishes to nominate one person or more
than one person.

I.....................................having family, hereby nominate the person/persons

mentioned below and confer on him/them the right to receive, to extent specified below,
any gratuity that may be sanctioned by the Council in the event of my death while in
service and the right to receive on my death, to the extent specified below, any gratuity
which having become admissible to me on retirement may remain unpaid at my death :-

Original nominee (s) Alternate nominee(s)

Name & Relationship Age Amount [Contingen Name, address, Amount
address of with the of share cy on the relationship & or share
nominee/nomi Agency of happening age of person or of
nees. employee gratuity of which persons if any, gratuity
payable the to whom the payable
to each* nomination right conferred to each**
shall on the nominee
become prodeceasing
invalid]@ nominee
dying after the
death of the
Agency
employee but
before payment
of the gratuity.

(1) (2) (3) (4) (5) (6) (7)

*This column should be filled in so as to cover the whole amount of the gratuity.
**The amount/share of the gratuity shown in this column should cover the whole
amount/share payable to the original nominees(s).

This nomination supersedes the nomination made by earlier on....................................

which stands cancelled.
NOTE:- (i) The Agency employee should draw lines across blank space below the last
entry to prevent the insertion of any name after he has signed.
(ii) Strike out which is not applicable.

Dated this...........................day of........................198 at.....................................................

Witness to signature
1................................
2.................................
Signature of Agency Employee

(To be filled in by the Head of Office)

Nomination by............................
Designation................................
Office..........................................
Signature of Head of Office
Date..................................
Designation.........................

Proforma for Acknowledgement the Receipt of the Nomination from by the Head of
Office.

To
...................................
...................................
.................................
Sir,
In acknowledgement the receipt of your nomination, dated the................/cancellation
, dated the....................of the nomination made earlier in respect of gratuity in
Form......................I am to state that it has been duly placed on record.

Place....................... Signature of Head of Office

Dated the................ (Designation)

NOTE :-1. The Agency employee is advised that it would be in the interest of his
nominee(s) if copies of the nomination and the related notices and acknowledgement are
kept in safe custody so that they come into the possession of the beneficiaries in the event
of his death.
[NOTE: 2. A nomination shall become invalid in case of a subscriber who had no family
at the time of nomination subsequently acquiring a family. Subscriber should clearly
indicate such contingency clause in the nomination and the share payable]*